Investing.com — Puma SE (ETR:PUMG) launched a cost-cutting programme as it issued a preliminary result with decline in operational profit.
Net income of the German sportswear company dropped to €282 million from €305 million in 2023, due to higher net interest expenses and increased non-controlling interests. Puma’s full-year operating profit (EBIT) remained steady at €622 million, reflecting a margin of 7.1%.
The cost efficiency program called “Nextlevel” is aimed at achieving an EBIT margin of 8.5% by 2027.
Though, Puma reported a 9.8% currency-adjusted sales increase to €2.29 billion in the fourth quarter of 2024, with reported sales growth of 15.5%. Full-year sales rose 4.4% on a currency-adjusted basis to €8.82 billion, aligning with the company’s outlook.
Fourth-quarter EBIT rose to €109 million, up from €94 million in the same period last year, while net income climbed to €24 million from €1 million.
Puma will release audited financial results for 2024 and its 2025 outlook on March 12.